Correlation Between Bank of Suzhou and Innovative Medical
Specify exactly 2 symbols:
By analyzing existing cross correlation between Bank of Suzhou and Innovative Medical Management, you can compare the effects of market volatilities on Bank of Suzhou and Innovative Medical and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Bank of Suzhou with a short position of Innovative Medical. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bank of Suzhou and Innovative Medical.
Diversification Opportunities for Bank of Suzhou and Innovative Medical
-0.08 | Correlation Coefficient |
Good diversification
The 3 months correlation between Bank and Innovative is -0.08. Overlapping area represents the amount of risk that can be diversified away by holding Bank of Suzhou and Innovative Medical Management in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Innovative Medical and Bank of Suzhou is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Bank of Suzhou are associated (or correlated) with Innovative Medical. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Innovative Medical has no effect on the direction of Bank of Suzhou i.e., Bank of Suzhou and Innovative Medical go up and down completely randomly.
Pair Corralation between Bank of Suzhou and Innovative Medical
Assuming the 90 days trading horizon Bank of Suzhou is expected to generate 0.21 times more return on investment than Innovative Medical. However, Bank of Suzhou is 4.79 times less risky than Innovative Medical. It trades about 0.07 of its potential returns per unit of risk. Innovative Medical Management is currently generating about -0.05 per unit of risk. If you would invest 794.00 in Bank of Suzhou on October 12, 2024 and sell it today you would earn a total of 12.00 from holding Bank of Suzhou or generate 1.51% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Bank of Suzhou vs. Innovative Medical Management
Performance |
| Timeline |
| Bank of Suzhou |
| Innovative Medical |
Bank of Suzhou and Innovative Medical Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Bank of Suzhou and Innovative Medical
The main advantage of trading using opposite Bank of Suzhou and Innovative Medical positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bank of Suzhou position performs unexpectedly, Innovative Medical can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Innovative Medical will offset losses from the drop in Innovative Medical's long position.| Bank of Suzhou vs. Qingdao Haier Biomedical | Bank of Suzhou vs. Nanjing Vishee Medical | Bank of Suzhou vs. Hainan Haiqi Transportation | Bank of Suzhou vs. Zhongzhu Medical Holdings |
| Innovative Medical vs. Guangzhou KingTeller Technology | Innovative Medical vs. Digiwin Software Co | Innovative Medical vs. Sinofibers Technology Co | Innovative Medical vs. Sunwave Communications Co |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Correlation Analysis module to reduce portfolio risk simply by holding instruments which are not perfectly correlated.
Other Complementary Tools
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Equity Analysis Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm |